Help comes locally

Northern Michigan governments have been showing a love for tax abatements and we can't disagree with this relationship right now.

In the past two months several property tax abatements have been approved by government bodies in Charlevoix and Emmet counties as a way of helping existing businesses invest in their futures.

In Bear Creek Township, Circuit Controls Corp. got a $268,000 property tax abatement on a $4.7 million investment over 12 years. The investment will involve expansion of the company's existing stamping operation and addition of a plating line, and is expected to bring eight new jobs. As of September, the company - which produces wiring harnesses for the automotive industry - employed about 150 people.

Mitchell Graphics will see an abatement of $95,000 in property taxes on a $1.7 million investment over a 12-year period. The investment is expected to bring two more jobs to the company, which had an existing workforce of about 40 people.

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In the city of Petoskey, Continental Structural Plastics got a $200,577 property tax abatement on a $2.7 million investment over 12 years. This investment, of which $1.6 million is in a new plastic processing line, will allow more of the company's work to be brought in-house. The abatement is touted as a way to help retain 175 existing jobs and create 10 additional positions over two years.

In Boyne City, LexaMar Corp. was given a $5,433,000 tax abatement for new equipment. This expansion and equipment will enable LexaMar to retain 150 jobs and be more competitive in the auto parts market.

And in Charlevoix, city council granted a $716,000 tax abatement to DCL, Inc. for an expansion that may create 10 new jobs. Council also gave a $900,000 abatement to LexaLite for an expansion that will create 20 news jobs and keep 90 others.

Sometimes we are a little leery of property tax abatements when they are being given out like candy on Halloween. But each one of these abatements was given out to established companies that are showing the investment the community is making in them will result in new jobs and/or the retention of existing jobs.

At a time in our state's history when the prospect of new jobs seems like a pipe dream, it is nice to see our local governments trying to do what they can to help out their communities.